News

Cotiviti Announces Pricing of Secondary Public Offering

August 8, 2017

ATLANTA, GA, August 7, 2017 (BUSINESS WIRE) – Cotiviti Holdings, Inc. (NYSE: COTV) (“Cotiviti” or the “Company”), a leading provider of payment accuracy and analytics-driven solutions primarily focused on the healthcare industry, today announced the pricing of the previously announced underwritten secondary offering by certain stockholders of the Company (the “Selling Stockholders”) of an aggregate of 10,000,000 shares of the Company’s common stock, par value $0.001 per share (the “Common Stock”) pursuant to a shelf registration statement on Form S-3 filed with the Securities and Exchange Commission (the “SEC”), at a price to the public of $37.00. In addition, the Selling Stockholders have granted the underwriter an option to purchase up to an additional 1,500,000 shares of Common Stock. The Selling Stockholders will receive all of the proceeds from this offering.

Goldman Sachs & Co. LLC is acting as sole book-running manager for the Common Stock offering and Robert W. Baird & Co. Incorporated and William Blair & Company, L.L.C. are acting as co-managers for the Common Stock offering.

The offering will be made only by means of a prospectus. A copy of the prospectus supplement together with the accompanying prospectus relating to this offering, when available, may be obtained from: Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, telephone:(866) 471-2526, facsimile: 212-902-9316, e-mail: prospectus-ny@ny.email.gs.com.

An automatic shelf registration statement (including a prospectus) relating to the offering of the Common Stock was filed with the SEC on August 7, 2017, and became effective upon filing. Before you invest, you should read the prospectus included in that registration statement, the preliminary prospectus supplement and other documents the Company has filed with the SEC for more complete information about the Company and this offering. You may obtain these documents for free by visiting EDGAR on the SEC’s website at www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Cotiviti

Cotiviti is a leading provider of payment accuracy and analytics-driven solutions that helps risk-bearing healthcare organizations and retailers achieve their business objectives. Through a combination of analytics, technology and deep industry expertise, our solutions create insights that unlock value from the complex interactions between clients and their stakeholders. Cotiviti serves more than 20 of the top 25 U.S. healthcare payers and eight of the top 10 U.S. retailers. Cotiviti’s passion for creating unique client value drives our focus – Analytics. Insight. Value.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties. All statements other than statements of historical fact or relating to present facts or current conditions included in this press release are forward-looking statements. Forward-looking statements give our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate,” “estimate,” “expect,” “project,” “seek,” “plan,” “intend,” “believe,” “will,” “may,” “could,” “continue,” “likely,” “should,” and other words.

The forward-looking statements contained in this press release are based on assumptions that we have made in light of our industry experience and our perceptions of historical trends, current conditions, expected future developments and other factors that we believe are appropriate under the circumstances. These statements are not guarantees of performance or results. These assumptions and our future performance or results involve risks and uncertainties (many of which are beyond our control). Important factors that could cause actual results to differ materially from those in the forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions and the following: our inability to successfully leverage our existing client base by expanding the volume of claims reviewed and cross-selling additional solutions; improvements to healthcare claims and retail billing processes reducing the demand for our solutions or rendering our solutions unnecessary; healthcare spending fluctuations; our clients declining to renew their agreements with us or renewing at lower performance fee levels; inability to develop new clients; delays in implementing our solutions; system interruptions or failures, including cyber-security breaches, identity theft or other disruptions that could compromise our information; our failure to innovate and develop new solutions for our clients; our failure to comply with applicable privacy, security and data laws, regulations and standards; changes in regulations governing healthcare administration and policies, including governmental restrictions on the outsourcing of functions such as those that we provide; loss of a large client; consolidation among healthcare payers or retailers; slow development of the healthcare payment accuracy market; negative publicity concerning the healthcare payment industry or patient confidentiality and privacy; significant competition for our solutions; our inability to protect our intellectual property rights, proprietary technology, information, processes and know-how; compliance with current and future regulatory requirements, including HIPAA transaction and code set standards; declines in contracts awarded through competitive bidding or our inability to re-procure contracts through the competitive bidding process; our failure to accurately estimate the factors upon which we base our contract pricing; our inability to manage our growth; our inability to successfully integrate and realize synergies from the merger of Connolly Superholdings, Inc. and iHealth Technologies, Inc. in May 2014 or any future acquisitions or strategic partnerships; our failure to maintain or upgrade our operational platforms; if the terms of our Medicare Recovery Audit Contractor (“Medicare RAC”) program contracts are substantially changed or CMS seeks significant refunds under our original Medicare RAC program contract; our inability to expand our retail business; our rebranding may not be successful; litigation, regulatory or dispute resolution proceedings, including claims or proceedings related to intellectual property infringements; our inability to manage our relationships with information suppliers, software vendors or utility providers; fluctuations in our results of operations; changes in tax rules; risks associated with international operations; our inability to realize the book value of intangible assets; our success in attracting and retaining qualified employees and key personnel; general economic, political and market forces and dislocations beyond our control; risks related to our substantial indebtedness and holding company structure; volatility in bank and capital markets; our status as a controlled company and as an emerging growth company; and provisions in our amended and restated certificate of incorporation. Additional factors or events that could cause our actual performance to differ from these forward-looking statements may emerge from time to time, and it is not possible for us to predict all of them. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, our actual financial condition, results of operations, future performance and business may vary in material respects from the performance projected in these forward-looking statements.

Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

A new name for a trusted partner

In 2014 Connolly and iHealth Technologies joined forces. Today, our combined knowledge and decades of experience bring our clients a higher level of performance. Our new name and brand marks a new step in our evolution and our renewed dedication to unlocking value.

Sharpening our focus on your success

For decades, Connolly has delivered excellent financial results for clients in healthcare and retail. Today, as part of Cotiviti, Cotiviti Healthcare, the payment accuracy expert for the healthcare sector, and Connolly, dedicated to our retail clients, are renewing our commitment to uncover value and help clients reach their business goals.